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www.rspo.org. RSPO. Promoting The Growth And Use Of Sustainable Palm Oil. Outline. What is palm oil? The need for sustainable palm oil The Roundtable on Sustainable Palm Oil (RSPO) Where we are today Where we go from here. What is palm oil?.

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slide1

www.rspo.org

RSPO

Promoting The Growth AndUse Of Sustainable Palm Oil

outline
Outline

What is palm oil?

The need for sustainable palm oil

The Roundtable on Sustainable Palm Oil (RSPO)

Where we are today

Where we go from here

slide3

What is palm oil?

“It has the scent of violets, the taste of olive oil and a color which tinges food like saffron but is more attractive”

Ca’da Mosto,15th century explorer,on discovering palm oil.

slide4

What is palm oil?

Palm Oil...

A highly versatile vegetable oil

Used in many food and non-food products

Produced in tropical countries

Rapidly growing market share

World’s top selling vegetable oil

slide5

What is palm oil?

Palm oil is used in more than half of packaged supermarket products today

Highly versatile

slide6

What is palm oil?

World palm oil production has grown rapidly

X 1 million tonnes

Source: Oil World, MOPB, MPOC

slide7

What is palm oil?

Source: Oil World, May, 2008

slide8

What is palm oil?

Palm tree cultivation has expanded significantly

X 1 million hectares

Source: Oil World, May, 2008

slide9

What is palm oil?

Source: Oil World, May, 2008

slide10

What is palm oil?

RSPO

Roundtable on Sustainable Palm Oil

Source: Oil World, May, 2008

slide11

What is palm oil?

Oil palms..

  • are highly efficient producers of oil
  • require less land than other oil crops
slide12

What is palm oil?

Average yield per year (tonnes of oil per hectare)

Source: Oil World

slide13

Why sustainable palm oil?

More than 1 million workers

More than 3 million smallholders

Many morehousehold members

Millions of people are dependent on palm oil

slide14

Why sustainable palm oil?

Social issues in oil palm cultivation

  • Land ownership conflicts
  • Worker’s rights and conditions
  • Treatment of smallholders
slide15

Why sustainable palm oil?

Environmental issues in oil palm cultivation

  • Forest, peatland conversion
  • Climate change
  • Biodiversity loss
slide16

The Roundtable

The Roundtable on Sustainable Palm Oil:

Started in 2003, with 7 members

Multi-stakeholder group

Promotes the growth and use of sustainable oil palm products through global standards

Among its principles:

Respect for rights of land owners, farm workers, smallholders and their families

No primary forests or high conservation value areas sacrificed for new palm oil plantations

slide17

The Roundtable

Today*:249 RSPO members

67 oil palm growers

96 palm oil processors, traders

5 social, developmental NGOs

13 environmental NGOs

36 consumer goods manufacturers

24 retailers

8 banks and investors

* September, 2008

slide18

Where we are today

RSPO’s preparations:

  • Code of Conduct for members
  • Independent certification bodies
  • Principles, specific criteria and indicators for sustainable palm oil production
  • Supply chain certification systems
  • Guidelines on communication and claims
slide19

Code of Conduct: “Every member supports, promotes and works towards the production, procurement and use of sustainable palm oil”

Grievance panel supervises compliance

Where we are today

slide20

Where we are today

Sustainability Principles:

Transparency

Use best practices

Care for environment, natural resources,and biodiversity

Consider rights ofworkers, smallholders

Develop new plantings responsibly

slide21

Where we are today

Specific social criteria and indicators:

Rights to the land not legitimately contested

Workers’ pay and conditions provide decent living

The right to form trade unions is respected

Health and safety plan implemented

Smallholders treated fairly by mills

slide22

Where we are today

Specific environmental criteria and indicators:

Since November 2005, new plantings did not replace primary forests or high conservation value areas

Erosion and degradation of soils are minimized

Pollution and waste is reduced

Use of fires is avoided

slide23

Where we are today

Respecting diversity: national interprations of guidelines

Papua New Guinea (April, 2008)

Malaysia (April, 2008)

Indonesia (May, 2008)

Colombia / L. America (in progress)

See: www.rspo.org

slide24

Plantation, mill certification procedure

Where we are today

Approved certification bodies listed on RSPO website

Audit by certification body (1 month notice)

Unit of certification: oil mill and suppliers

Compliance with Principles, Criteria and Indicators

Phase I: Document review

Phase II: Field checks, stakeholder interviews

Audit Report, summary published online

slide25

Where we are today

The palm oil supply chain:

  • Many links
  • Potential for mixing

Plantations

Smallholders

Mill

Transport & Shipping

Product Manufacturers

Retailers

Refiners & Blenders

Ingredient Manufacturers

slide26

Where we are today

Supply chain certification systems: monitoring

‘Identity preserved’:Sustainable oil kept apart, traceable to plantation

‘Segregation’:Mixing of sustainable palm oil batches is allowed

‘Mass Balance’:Mixing of sustainable and conventional oil allowed, if monitored administratively

Designed and managed by Utz Certified,www.utzcertified.org

slide27

Where we are today

Supply chain certification system: ‘Identity Preserved’

slide28

Where we are today

Supply chain certification system: ‘Segregation’

slide29

Where we are today

Supply chain certification system: ‘Mass Balance’

slide30

Where we are today

Supply chain certification system: credit trading

‘Book and Claim’:- No tracking, tracing or monitoring of oil- Growers, end-users trade volume credits online

Designed and managed by GreenPalm,www.greenpalm.org

slide31

Where we are today

Supply chain system: ‘Book and Claim’

slide32

Where we are today

Supply chain certification procedure

  • Verifies movement of oil through supply chain
  • Step-by-step documentation
  • Short-term: self-assessments
  • Long-term: third-party certification
  • Details: RSPO Supply Chain Certification Systems
  • See: www.rspo.org
slide33

Where we are today

Communication guidelines and claimsSpecify communication on production, procurement and use of RSPO-certified sustainable palm oil

  • Use of RSPO logo
  • Claim details
  • Story-telling on supply chain model
  • On-pack, about-product, corporate communications
slide34

Where we are today

title

Two possible claims in communication, marketing:

  • “... contains [only/.. %] RSPO-certified sustainable palm oil”

- Used with ‘Identity Preserved’, ‘Segregation’ systems

  • “... supports the production of RSPO-certified sustainable palm oil (equivalent to .. % of the palm oil utilized)”

- Used with ‘Mass Balance’, ‘Book and Claim’ systems

slide35

Where we are today

Claims and corresponding supply chain systems: #1

“This product contains [only/..%] RSPO-certified sustainable palm oil”

‘Identity Preserved’

‘Segregation’

Specific RSPO-certified plantation

Several RSPO-certified plantations

slide36

Where we are today

Claims and corresponding supply chain systems: #2

“... supports the production of RSPO-certified sustainable palm oil (equivalent to ..% of the palm oil utilized)

‘Mass Balance’

Certificates

‘Book & Claim’

RSPO-certified + conventional plantations

RSPO-certified plantations

slide37

Where we are today

By end of 2008:

± 12 certification bodies approved by RSPO

350,000 hectares certified

Four supply chain certification systems operational

Capacity to supply 1.5 million tonnes of RSPO-certified sustainable palm oil per year

slide38

Where we are today

DOWNLOAD CENTER

‘Key documents’ at www.rspo.org:

  • Statutes
  • Principles & Criteria
  • Criteria: National Interpretations
  • Code of Conduct
  • Certification Systems
  • Guidelines on Communication & Claims
slide39

Where we go from here

RSPO’s ambitions:

Grow supply of certified oil

Grow demand for certified oil

Grow RSPO membership

Engage governments

Engage and educate smallholders

slide40

Where we go from here

Engaging more than 3 million smallholders

They maintain 20% of acreage

RSPO Task Force on smallholders

Promotes smallholder interests within RSPO

Raises awareness among smallholders

Adapts RSPO standards and procedures

Develops group certification protocol

slide41

Where we go from here

  • By end of 2009:Capacity to supply 3 million tonnes per year(±8% of production)
  • Ultimately,RSPO aims to see all the world’s palm oil produced in a sustainable way
slide42

Thank You!

RSPO SecretariatKuala Lumpur, Malaysia

WWW.RSPO.ORG

Telephone : +60 3 6203 5969Email : rspo@rspo.org